FTR’s Shippers Conditions Index improved in April

FTR’s Shippers Conditions Index improved in April

FTR’s Shippers Conditions Index (SCI) for April, as reported in the June Shippers Update, improved to a -11.9 reading from the previous month’s record low of -17.8. Lower fuel costs and weaker freight volume were the key changes, offsetting tough utilization and rates. Conditions for shippers are forecast to improve but remain negative into 2022.

“Shippers conditions improved in April, but are likely to remain decently negative through the balance of the year as utilization, rates, and overall transportation capacity remain tight,” noted Todd Tranausky, vice president of rail and intermodal at FTR. “While April reflected some improvement, it is important to put that gain in the context of March’s record negative result. So while things improved in April, they did so from an incredibly weak level, meaning conditions remain highly challenged for shippers in the marketplace across all modes.”

The June issue of FTR’s Shippers Update, published June 7, provided a detailed analysis of the factors affecting the March Shippers Conditions Index and provides the forecast for this index through April of 2022. Included in this month’s report is discussion on how unemployment benefits might be contributing to disappointing driver hiring levels.

The Shippers Conditions Index tracks the changes representing four major conditions in the U.S. full-load freight market. These conditions are: freight demand, freight rates, fleet capacity, and fuel price. The individual metrics are combined into a single index that tracks the market conditions that influence the shippers’ freight transport environment. A positive score represents good, optimistic conditions. A negative score represents bad, pessimistic conditions. The index tells you the industry’s health at a glance.

Click here for even more market data from FTR.

You May Also Like

Class 8 orders strong in February

Even when seasonally adjusted, ACT says preliminary order numbers for February are up 5% over January.

ACT-Class-8-Feb-truck-orders

According to the latest numbers from ACT Research, preliminary North America Class 8 net orders were 27,700 units, up 600 units from January and 16% from a year ago. With the fourth-largest seasonal factor of the year at 8%, seasonal adjustment reduces February’s Class 8 intake to 25,600 units, up 5% from January.

“Weak freight and carrier profitability fundamentals, and large carriers guiding to lower capex in 2024, would imply pressure in U.S. tractor, the North American Class 8 market’s largest segment,” said Kenny Vieth, ACT’s president and senior analyst. “While we do not yet have the underlying detail for February order volumes, Class 8 demand continuing at high levels again this month suggests that U.S. buyers continue as strong market participants.”

Kenworth delivers 15-liter natural gas-powered truck to UPS

The truck is equipped with the Cummins X15N, which Kenworth says will meet CARB and EPA Requirements for both 2024 and 2027.

Kenworth-delivers-CNG-truck-to-UPS
ACT Research: 2024 could see trucking recovery

Despite trucking demand remaining weak, ACT Research says imports and international data indicate positive trends in 2024.

ACT-for-hire-index-Jan-24
Navistar progressing toward autonomous hub-to-hub transport

Autonomous truck testing is underway, and the company expects customer pilots to be delivered later this year.

Navistar-Autonomous-partnership-Plus-international-truck
FTR Trucking Conditions Index falls in December

FTR says the drop was mostly due to higher capital cost and a deterioration in freight rates, a trend that could stretch into 2024.

FTR-TCI-december-2023

Other Posts

Scania reports 2023 growth in sales, progress on sustainability

The company says sales and performance are increasing as they move toward the goal of electrification, but there are challenges along the way.

SCANIA-Logo-vector
Fullbay: Repair shop sales and labor rates rose in 2023

A new report shows that counter sales and labor rates rose significantly in 2023 from the previous year.

Fullbay-TMC
ACT Research: Trailer orders dip as cancellations climb

Preliminary data for net trailer orders in January seems to follow a continued softening trend, according to ACT Research.

ACT-Research-Trailer-Net-Orders-down-Cancellations-up-Jan-2024
Good News! Parts, labor costs fell slightly Q4 2023

Decisiv, TMC Benchmarking Report shows trend reversal from previous quarter.

Decisiv-TMC-Benchmarking-Report-1400